New Study Reveals Key HR Challenges and Solutions for SMBs
TL;DR
Small and mid-sized businesses can gain a competitive advantage by improving HR practices and strategic approaches to address hiring and retention challenges.
The free research report provides valuable insights into how HR professionals from smaller organizations manage strategic processes and HR responsibilities.
By adopting potential best practices and strategic HR approaches, SMBs can create a more supportive employee culture and thrive in today's dynamic business landscape.
Surprisingly, only 35% of SMBs cite employee reskilling and upskilling as a concern, despite the current tight labor market and competition from larger companies.
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More than half of small and mid-sized businesses (SMBs) are grappling with significant challenges in hiring, retention, and maintaining a positive company culture, according to a new study by HR.com's HR Research Institute in collaboration with UKG. The study, titled "HR Decision-Making in Small to Mid-Sized Businesses", aims to provide actionable strategies for SMBs to enhance their HR practices and overall business performance.
The research reveals that 60% of HR professionals in SMBs are concerned about retaining top talent, 58% are focused on creating a supportive employee culture, and 56% are challenged by hiring qualified employees. These issues are intensified by a tight labor market and competition from larger companies with more resources. Interestingly, only 35% of SMBs are concerned with employee reskilling and upskilling despite the growing importance of workforce learning and development (L&D) as a strategy for filling open positions and retaining staff.
SMBs with mature HR operations tend to prioritize manager skills and quality hiring, while those with less developed HR functions focus more on fundamental aspects like compliance with employment laws. This maturity in HR practices highlights the potential benefits of investing in manager training and strategic hiring approaches.
Another significant finding is the disparity in technology usage among SMBs. Companies with advanced HR operations are more likely to utilize strategic and advanced HR technology, aligning their tech investments with business goals to boost efficiency, compliance, and decision-making. This alignment is essential for driving organizational success and overcoming HR challenges.
HR professionals and managers can gain further insights by viewing the recorded session “The Art of Finding and Keeping Top Talent: Expert Insights for Lean HR Teams”, featuring Teresa Smith from UKG and Mark Vickers from HR.com. This session offers expert advice on transforming HR functions into strategic business assets.
Julie Develin, senior partner at UKG, emphasized the importance of having the right HR technology in place for businesses with leaner teams. “HR technology improves workflows, streamlines roadblocks, and enhances the overall employee experience,” she stated. Debbie McGrath, CEO of HR.com, added, “Strategic investment in HR technology may be a game-changer for SMBs. By adopting intentional strategies and investing in effective tech, SMBs can better navigate their HR challenges and thrive in an increasingly competitive environment.”
Curated from Newsworthy.ai
